So how do i fix this and how do i increase the verbosity?

The short answer is no way. If there's a source bug you just send a bug report to the maintainer/author of the package and patiently wait for a resolution.
Formally, if ./configure reports no problem, but make fails, it IS a maintainer's problem. It should not happen.

OK, well thanks to all you guys who helped me in this problem and this just shows how great the Linux community is, long live LINUX...

Installing MLT may help.

Yep. My wife's PC is running KDE, so I ssh-d to it and tried to build kdenlive-0.5.1.
First, configure complained mlt-config is missing but still finished with success message.
Compile fails.
Installed MLT.
Configure gives no errors.
Compile stops, complaining cannot find mlt++.h.
Installed mlt++.
It builds fine.

As Uncle_Theodore said, it's not ready for production use.

Thats great but where on earth did you get MLT? i have been looking but cannot find it unless its under a different name.

Ah i believe its under the name 'libmlt' so i installed libmlt-dev and libmlt++ but now i get the following.

/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:446: error: ‘AVFormatContext’ was not declared in this scope
/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:446: error: ‘context’ was not declared in this scope
/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:446: error: expected primary-expression before ‘)’ token
/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:446: error: expected `;' before ‘mlt_properties_get_data’
/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:452: error: expected primary-expression before ‘)’ token
/home/mrlinux/Download/kdenlive-0.5/kdenlive/krender.cpp:452: error: expected `;' before ‘mlt_properties_get_data’

Now i am using gnome not KDE but shouldn't make a difference...

Run 'unsermake clean' and ./configure again and look carefully at output. Something else is missing in your box. (I couldn't build it in my box, I have no QT.)